Franco-Nevada Co. (NYSE:FNV) Raises Dividend to $0.38 Per Share

Franco-Nevada Co. (NYSE:FNV) (TSE:FNV) announced a quarterly dividend on Friday, January 31st,Wall Street Journal reports. Stockholders of record on Thursday, March 13th will be paid a dividend of 0.38 per share by the basic materials company on Thursday, March 27th. This represents a $1.52 annualized dividend and a dividend yield of 1.12%. The ex-dividend date is Thursday, March 13th. This is a boost from Franco-Nevada’s previous quarterly dividend of $0.36.

Franco-Nevada has raised its dividend payment by an average of 7.5% annually over the last three years. Franco-Nevada has a payout ratio of 30.2% meaning its dividend is sufficiently covered by earnings. Research analysts expect Franco-Nevada to earn $4.04 per share next year, which means the company should continue to be able to cover its $1.44 annual dividend with an expected future payout ratio of 35.6%.

Franco-Nevada Stock Down 0.1 %

Shares of NYSE FNV traded down $0.18 during mid-day trading on Friday, hitting $136.06. 632,355 shares of the company traded hands, compared to its average volume of 634,183. Franco-Nevada has a 1 year low of $103.64 and a 1 year high of $138.34. The stock has a market capitalization of $26.20 billion, a price-to-earnings ratio of -43.06, a PEG ratio of 5.90 and a beta of 0.72. The business has a 50 day moving average of $123.15 and a two-hundred day moving average of $124.20.

Franco-Nevada (NYSE:FNV) (TSE:FNV) last posted its quarterly earnings results on Wednesday, November 6th. The basic materials company reported $0.80 earnings per share for the quarter, missing the consensus estimate of $0.83 by ($0.03). Franco-Nevada had a negative net margin of 55.28% and a positive return on equity of 10.55%. The business had revenue of $275.70 million for the quarter, compared to analyst estimates of $279.11 million. During the same period in the previous year, the firm posted $0.91 earnings per share. The firm’s quarterly revenue was down 10.9% on a year-over-year basis. As a group, research analysts anticipate that Franco-Nevada will post 3.19 EPS for the current year.

Wall Street Analyst Weigh In

Several research analysts have weighed in on the company. Canaccord Genuity Group raised Franco-Nevada from a “hold” rating to a “buy” rating in a research report on Monday, November 18th. Jefferies Financial Group decreased their price target on Franco-Nevada from $137.00 to $136.00 and set a “hold” rating for the company in a research note on Thursday, October 17th. UBS Group initiated coverage on Franco-Nevada in a research note on Monday, November 18th. They set a “buy” rating and a $160.00 price target for the company. Scotiabank decreased their price target on Franco-Nevada from $142.00 to $141.00 and set a “sector perform” rating for the company in a research note on Friday, November 8th. Finally, Canaccord Genuity Group upgraded Franco-Nevada from a “hold” rating to a “buy” rating in a research note on Monday, November 18th. Four research analysts have rated the stock with a hold rating and seven have given a buy rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $145.33.

Franco-Nevada Company Profile

Franco-Nevada Corporation operates as a gold-focused royalty and streaming company in South America, Central America, Mexico, the United States, Canada, and internationally. It operates through Mining and Energy segments. The company manages its portfolio with a focus on precious metals, such as gold, silver, and platinum group metals; and engages in the sale of crude oil, natural gas, and natural gas liquids through a third-party marketing agent.